HLS 13RS-1089 ORIGINAL
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2013
HOUSE BILL NO. 573
BY REPRESENTATIVE CONNICK
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
PILOTS: Includes legal and consulting fees of Pilotage Fee Commission in pilotage fees
and rates
AN ACT1
To enact R.S. 34:1122(B)(4), relative to pilotage fees and rates; to provide for legal and2
consulting expenses of certain members of the Pilotage Fee Commission; to provide3
for the establishment of necessary fee, rate, or surcharge; and to provide for related4
matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 34:1122(B)(4) is hereby enacted to read as follows: 7
ยง1122. Fees and charges; adjudication of disputes8
* * *9
B.10
* * *11
(4)(a) Pilotage fees and rates shall provide for the reasonable legal expenses12
and consulting expenses of the industry members of the Pilotage Fee Commission13
incurred in the discharge of their duties, functions, and responsibilities as provided14
for in this Part.15
(b) "Industry members" as used in this Paragraph shall mean those members16
of the Pilotage Fee Commission appointed pursuant to R.S. 34:1121(B)(2).17
(c) The Pilotage Fee Commission shall adopt rules and regulations in18
accordance with the Administrative Procedures Act and as proposed by the industry19 HLS 13RS-1089 ORIGINAL
HB NO. 573
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members for the purpose of establishing any necessary fee, rate, or surcharge to fund1
such legal expenses and consulting expenses.2
(d) At a minimum, the rules shall provide that:3
(i) Industry members shall be solely responsible for establishing the amount4
of such necessary fee, rate, or surcharge.5
(ii) Industry members shall be solely responsible for retaining legal6
representation to represent industry members, overseeing legal bills, and directing7
legal work performed on behalf of industry members.8
(iii) Industry members shall be solely responsible for retaining consultants,9
including but not limited to accountants and technical experts, to assist industry10
members, overseeing consultant bills, and directing consulting work performed on11
behalf of industry members.12
(iv) Industry members shall base the fee, rate, or surcharge used on the13
amount of legal expenses and consulting expenses incurred and anticipated and any14
available funds on hand to pay legal expenses and consulting expenses.15
(v) Industry members shall adjust the fee, rate, or surcharge used annually.16
(vi) Only industry stakeholders shall participate in the industry members'17
annual proceedings to consider adjustments to the fee, rate, or surcharge used.18
* * *19
Section 2. This Act shall become effective upon signature by the governor or, if not20
signed by the governor, upon expiration of the time for bills to become law without signature21
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If22
vetoed by the governor and subsequently approved by the legislature, this Act shall become23
effective on the day following such approval.24 HLS 13RS-1089 ORIGINAL
HB NO. 573
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DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Connick HB No. 573
Abstract: Allows for the inclusion of reasonable legal and consulting expenses for certain
members of the Pilotage Fee Commission in the establishment of pilotage fees, rates
or surcharges.
Present law creates the Pilotage Fee Commission made up of eleven members and nine
alternates appointed as follow:
(1)4 mmbers and 4 alternates appointed by the governor and designated by the board
of directors of the 4 pilot associations to represent the interests of the pilot
associations.
(2)4 members and 4 alternates appointed by the governor from nominees submitted by
the N.O. Steamship Assoc., the Mississippi River Maritime Assoc., the Lake Charles
Maritime Assoc. and the International Freight Forwarders and Customs Brokers of
N.O. Inc., LABI, the La. Chemical Assoc. and La. Mid-Continent Oil and Gas
Assoc. to represent the interests of the industry.
(3)Three at-large members and one at-large alternate.
Present law gives the fee commission exclusive authority to fix and establish reasonable and
just fees and rates for:
(1)Pilotage service to ships and vessels.
(2)Pilotage service to ships in distress.
(3)Extraordinary pilotage service.
(4)A pilot being carried to sea unwillingly, which fee and rate shall include
reimbursement for his return to pilot station.
(5)The detention of a pilot.
Present law provides that pilotage fees and rates provide for all ordinary and necessary
operating and administrative costs, including but not limited to the cost of, replacement of,
and reasonable return on investment of pilot stations, administrative offices, furniture and
fixtures, communication equipment and facilities, vessels, launches and other required
vehicles of transportation and the expenses of maintaining and repairing same, other
transportation expenses, the expense of maintaining necessary employees, operating
materials, consumables and services, pensions, pension plans, hospitalization, disability
compensation, taxes and licenses, life insurance, license insurance, trade promotions when
requested to participate by industry or any port, required continuing education, legal
expense, accounting expense, professional dues, administrative and professional
publications, state pilot commissions, state and federal requirements, and fair average annual
compensation for a state ship pilot, in comparison to regulated state ship pilotage in other
United States ports. Further provides for all ordinary and necessary operating and
administrative expenses of the fee commission. HLS 13RS-1089 ORIGINAL
HB NO. 573
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are additions.
Proposed law provides that pilotage fees and rates provide for reasonable legal and
consulting expenses of the industry members of the fee commission. Defines "industry
members" as those in present law members appointed by the governor from nominees
submitted by the N.O. Steamship Assoc., the Mississippi River Maritime Assoc., the Lake
Charles Maritime Assoc. and the International Freight Forwarders and Customs Brokers of
N.O. Inc., LABI, the La. Chemical Assoc. and La. Mid-Continent Oil and Gas Assoc. to
represent the interests of the industry.
Proposed law requires the fee commission to adopt rules and regulations as proposed by the
industry members for the purpose of establishing any necessary fee, rate, or surcharge to
fund the legal and consulting expenses.
Proposed law specifies that the rules should provide at a minimum that:
(1)Industry members are solely responsible for retaining legal representation,
overseeing the billing, and directing legal work performed on behalf of the industry
members.
(2)Industry members are solely responsible for retaining consultants, including
accountants and technical experts, overseeing the billing and directing consulting
work performed on behalf of the industry members.
(3)Industry member are to base the fee, rate, or surcharge on the amount of expenses
incurred and anticipated, and any available funds to pay the expenses.
(4)Industry members are to adjust the fee, rate, or surcharge annually.
(5)Only industry stakeholder are to participate in the annual proceedings to consider
adjustments to the fee, rate, or surcharge.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Adds R.S. 34:1122(B)(4))